Montel Companys July sales budget calls for sales of $520,000. The store expects to begin July with $63,000 of inventory and to end the month with $37,000 of inventory. Gross margin is typically 40% of sales. Determine the budgeted cost of merchandise purchases for July

MONTEL COMPANY Computation of Budgeted Cost of Purchases For Month Ended July 31 Required available merchandise Budgeted cost of purchases